Keep bank account or credit card Info away from Debt Collectors
Ever been charmed by a debt collector?
Well, if you have ever paid a past due debt by authorizing the use of a ‘Check by Phone’ or
by Credit Card, you have made yourself vulnerable to the debt collector.
Why? Simply because by exposing your private information to a debt collector you have
given him the power to drain your checking account or to max out your credit card. This is
giving some powerful leverage to the collector.
Here is a possible scenario. If you have an outstanding past due balance of say $1000.00
and you verbally agree over the phone to $20 dollar monthly payments, and you authorize a
Check by Phone or offer up your Credit Card information, the debt collector can actually
withdraw or charge the total amount of the past due debt, immediately.
Since you have no physical proof of the agreement, the debt collector can take or charge the
balance of the outstanding past due debt and there is not be much that you can do about it.
I recommend that you NEVER disclose your bank account or credit card information to a debt
collector, as you risk them draining your account, or maxing out your credit card. This can put
you in a bad position with your other creditors because you may not be able to make
payment to those creditors.
Well, if you have ever paid a past due debt by authorizing the use of a ‘Check by Phone’ or
by Credit Card, you have made yourself vulnerable to the debt collector.
Why? Simply because by exposing your private information to a debt collector you have
given him the power to drain your checking account or to max out your credit card. This is
giving some powerful leverage to the collector.
Here is a possible scenario. If you have an outstanding past due balance of say $1000.00
and you verbally agree over the phone to $20 dollar monthly payments, and you authorize a
Check by Phone or offer up your Credit Card information, the debt collector can actually
withdraw or charge the total amount of the past due debt, immediately.
Since you have no physical proof of the agreement, the debt collector can take or charge the
balance of the outstanding past due debt and there is not be much that you can do about it.
I recommend that you NEVER disclose your bank account or credit card information to a debt
collector, as you risk them draining your account, or maxing out your credit card. This can put
you in a bad position with your other creditors because you may not be able to make
payment to those creditors.
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Rather, if an agreement is reached,
use a US Postal Money Order and
send it to the collection agency in a
way that will give you Confirmation
of Receipt. Such as Priority Mail or
Certified Mail. This may cost you a
little extra to send in time, money
and trouble, but the assurance that
it will give you is well worth it.
Include in the package a written
statement outlining the terms that
were agreed upon between you and
the debt collector and note in the
letter that by depositing of the
enclosed money order # (note
money order number here)
acknowledges the outlined terms.
use a US Postal Money Order and
send it to the collection agency in a
way that will give you Confirmation
of Receipt. Such as Priority Mail or
Certified Mail. This may cost you a
little extra to send in time, money
and trouble, but the assurance that
it will give you is well worth it.
Include in the package a written
statement outlining the terms that
were agreed upon between you and
the debt collector and note in the
letter that by depositing of the
enclosed money order # (note
money order number here)
acknowledges the outlined terms.
The written word is always more powerful than the memory.
Don’t leave yourself susceptible to unscrupulous debt collectors.
They are out there - and they will get you if they can.
Don’t leave yourself susceptible to unscrupulous debt collectors.
They are out there - and they will get you if they can.
| Copyright 2005-2008 Debt Credit Learning Center |
God Bless.
Carlos Cruz
Debt Credit Learning Center
Carlos Cruz
Debt Credit Learning Center